We achieved our target of maximizing RASK in the domestic market.

São Paulo, March 17, 2011 – (BM&FBOVESPA: TAMM4, NYSE: TAM). Brazilian National Civil Aviation Agency (ANAC) disclosed today the operational data for the month of February 2011.

In the domestic market, which includes Pantanal’s data, we achieved a demand growth (in RPK) of 1.5%, combined with an increase of 11.6% in the supply (in ASKs), compared with February 2010, which led to an decrease in the load factor of 6.2  p.p. to 62.8%. The market share in the domestic market was 39.6%.

This numbers reflects the seasonal decrease of leisure passengers, emphasized by the carnival that took place in March this year, impacting the load factor reduction. Moreover, the strong mix of business passengers in February provided a strong yield recovery, resulting in the achievement of our target of maximizing RASK (revenue per available seat kilometer), which increased over the previous month for the second consecutive month.

In the international market, compared to the same month last year, we saw a rise of 11.6% in demand with an 12.1% increase in supply resulting in a decrease of 0.3 p.p. in load factor reaching 77.2%. Our market share among Brazilian carriers in February was 85.9%.

In the international market, we recorded a slight reduction in yield and RASK in dollar compared to the previous month. This figures are aligned with our expectations and the demand of passengers traveling between Brazil and abroad remained strong.

We are confident in the market potential and we reiterate our estimates of supply growth, also we still believe that we will end the year with an average load factor of 83% in the international market and between 67.5% and 70% in the domestic market.

Click here to see our operating data for the month of february.